Trends and Developments

Reprogram, Watson!

The legal market is facing profound change and the revolution has already begun. The market for law firms and legal departments alike is seeing greater change than many care to accept. The reason: the rise of legal tech and the cost pressure clients are under. In ten years we might be saying that 2016 was when the radical shakeup began. That said, there is little to suggest this year that commercial law firms need to change. Most are posting good – even rising – turnovers, the economy (at least in Germany) is steady, investors’ interest in German real estate, infrastructure projects and manufacturing companies is strong. The VW emissions scandal this year showed that compliance problems can reach even greater dimensions than those seen at Siemens a few years ago – and this time they are keeping not only US firms busy, but also a large number of German firms. So why not just focus on these tasks? Because digitalization is no temporary phenomenon, and neither is the cost pressure that goes along with it. The legal sector is not exactly a trailblazer when it comes to the digitalization of processes. But there are examples of law firms and legal departments where those responsible fancy themselves as pioneers.

Cost pressure: how digitalization can provide relief

US firms use profits to invest in Germany

Compliance: the new M&A

Brexit: a shock – except for US firms

Law firms withstanding pressure on models